§ MR. BOWLES (Lambeth, Norwood)I beg to ask Mr. Chancellor of the Exchequer whether he can state the total rate at which commission is charged on dealings made in investments belonging to a trust in the Department of the Public Trustee; and what proportion, if any, of the total commission so charged accrues to the Department of the Public Trustee.
§ THE CHANCELLOR OF THE EXCHEQUER (Mr. LLOYD-GEORGE,) Carnarvon BoroughsThe fee charged by the Public Trustee upon making any investment is one-half per cent. upon the money invested. Out of this fee the Public Trustee pays the broker. Consequently, the proportion, if any, of the fee so charged which accrues to the Department varies according to the balance of the fee left over after the brokerage has been defrayed.
§ MR. BOWLESI beg to ask Mr. Chancellor of the Exchequer whether it is part of the duty of the Public Trustee, on the constitution of any trust in his Department, to review the investments belonging to the trust in conference with the Government stockbrokers and to offer advice, though unsolicited, to those interested in the trust as to the desirability of making such changes in those investments as he may consider advantageous.
§ MR. LLOYD-GEORGEThe Public Trustee has no official broker, but endeavours where possible to give effect to Section 11 (2) of the Public Trustee 237 Act by employing the broker previously employed in the management of the trust. As regards changes of investments, the Public Trustee, in proper cases, accepts the duty laid upon a trustee to draw attention to any changes whereby the permanent stability of the trust estate may be more certainly assured and depreciation averted.
§ MR. BOWLESWill the right hon. Gentleman take steps to ensure that, where the Public Trustee offers un-unsolicited advice, he also makes it quite clear that he is departmentally interested pecuniarily in the dealing he advises?
§ MR. LLOYD-GEORGEI am not sure that I would interfere with the management of matters placed in the hands of the Public Trustee.